"Discovering a new universe of ideas....".

Interview with Christopher Kennedy, Executive Vice-President, The Merchandise Mart

If anyone in the long-term care industry needed a concrete symbol of how far the field has progressed in general public consciousness, perhaps recent initiatives by The Merchandise Mart into senior housing design will suffice. For those involved with facility design - management and designers alike - this was major. The Merchandise Mart is, to put it simply, big. It consists of 5.3 million square feet of retail, office and showroom space, occupies its own Chicago zip code and manages more than 300 trade shows, market events and conferences each year. One of those conferences, the NeoCon World's Trade Fair (National Exhibition of Contract Furniture), is the largest furnishings industry show in North America, hosting upwards of 40,000 attendees each year. For a last proof of bigness, The Mart was sold last year to a New Jersey-based real estate investment trust (Vornado Realty) for a cool $625 million. The sellers: the Kennedy family (yes, that Kennedy family, of John, Robert and Ted fame), which had owned The Mart for over 50 years. Today, Robert Kennedy's 35-year-old son Christopher still works for The Mart as its executive vice-president. It was he who spearheaded its latest venture into convention management, Senior Housing South and Senior Housing West. Both were held this past March, in Miami and Los Angeles, respectively, and both featured exhibits and seminars aimed specifically at designers and managers in long-term care. Recently, Christopher (who, especially in rolled-up shirtsleeves mode, closely resembles his father) spoke with Nursing Homes/Long Term Care Editor Richard L. Peck about the thoughts and plans behind The Merchandise Mart's newest venture.

Peck: Now that you've gone through the first two senior housing shows, what's your reaction?

Kennedy: We have exhibitors signing up for next year's shows in large numbers, which is a testament to the success of the show and a vote of confidence in our show management. Most of the attendees this year were architects and designers who had been so insulated from product information in the senior housing and healthcare industries that they found this to be a discovery of a whole new universe of ideas. There is now more pressure on us to deliver more information about more product choices in this field - and the designers and architects now have more choices, so that is good news. We recognize that there can be no jury-rigging of some standard office product or super-industrial product that would be inappropriate for this setting. We will also work to expand the appeal of these conventions to senior housing management and investors. based on the positive reaction from our exhibitors and attendees, it is apparent that the marketplace viewed the show as a success.

Peck: How did The Merchandise Mart get involved in this field?

Kennedy: The best way to answer that is to take a look back into the history of NeoCon. We've managed the NeoCon show for 30 years. NeoCon was the umbrella name for the furnishings used by offices, restaurants, hospitality and so forth, which had evolved into "systems" furniture requiring a contract installer. The show was begun in order to attract dealers who wanted to become installation contractors. The show abandoned non-office furniture in the 1970s and early 1980s, but began to diversify again in the late 1980s into hospitality and residential furniture and, now, senior housing.

As a research-driven organization, we know that the architects and designers who are among our primary customers are seeking more information about senior housing; in fact, some 40% of them are involved in designing senior housing facilities. An annual attendance of 40,000 is a big number, and they're demanding more information about products and needs specific to this field.

Peck: One of the goals of the senior housing shows, I know, was to attract a mixed audience of designers and owner/operators. Is this an unusual approach for The Mart? Kennedy: Not really. We know that decision making involves several parties and is, or should be, integrated. Also, a variety of people come for a variety of reasons: to experience the educational programs, to see and touch the new products and to network with peers as everyone tries to get comfortable with this field. When you see 10,000 other people "doing the same thing," you tend to feel validated in your decision making. It is our aim to offer something of value to everyone in the decision-making loop. We have created an environment where that senior housing team can make a buying choice together.

Peck: Do you feel that you, personally, learned something about long-term care from this experience?

Kennedy: I learned that there are now many choices available to developers in this field, literally from the ground up: from carpeting, to wall-covering, to artwork, and on to electrical supplies, mattresses, windows, ceiling systems - in short, everything in your environment can, as you age, be altered to help make you a more effective individual. It is difficult to investigate all these choices, but they're out there, and you have to work toward comprehending them. Our show presents decision makers with the resources they need to make informed decisions, which come from clarity and choice.

I would also like to add that design is curative; the more people who understand that, the better off the industry is, and the better off we are. We must convince the owners, facility managers and others that design is curative. For example, look at the Rehabilitation Institute of Chicago (RIC). Dr. Henry Betts there believes that the environment of a patient who's being treated is very important to his or her recovery - that includes everything from its design to works of art it might contain, as is the case at RIC.

Peck: What about financing for long-term care, which is in pretty sorry shape these days. What are your thoughts on this and how, for that matter, do you feel that your father would have responded to this issue?

Kennedy: I think there's a fundamental belief among the Kennedys, and others, that the private sector must step forward and develop ways and means for dealing with our aging population. Government continues to have a role, although its inability to face up to its responsibilities in this field is highly frustrating. But there's a recognition on my part that, as the Baby Boomers age, they can force changes that a smaller population could not.

Peck: Would you elaborate on that thought?

Kennedy: My thoughts are that we need to reshape the landscape of senior housing as a whole, nationwide. It is clear that we have a choice from the ground up, everything from the design to air quality. Everything can be altered to make you a better individual; you can ignore it or investigate it. We are convinced that when people are more educated and less ignorant, we'll see a difference. They'll enjoy life more.

The Baby Boomers are a fundamental factor in all this. When they entered grade school and high school, teaching methods changed, and dollars were made available for that. When they entered college, everything changed, from the way college was paid for to the selection of subjects taught. When they entered the work force, there was more change - for example, the development of teaming stations and the open-plan office environment. Now the older Baby Boomers are starting to look at senior housing alternatives, for themselves and especially for their parents - and with this, change will follow. The question is, will the decisions they face be made with clarity based on good information and knowledge of the choices available? We believe we can provide the information needed by the decision makers who will be shaping the senior housing landscape for decades to come.

See sidebar on page 28: Senior Housing Expos and What They Mean.